Guide to Types of Business Opportunities

Different Types of Business Opportunities

• Turnkey operations - A product or service which can be provided or resold to another immediately after it is purchased. It is often considered the same as a franchise, but not all franchises are turnkeys.
• Distributorships - An independent agent that has entered into an agreement to market the product of another, but does not use the manufacturer's trade name as part of their name. Distributors may sell to several dealers. (For example, food service distributors that provide bulk items to restaurants, hotels, schools, hospitals, etc.)
• Dealer - Similar to distributorship but they sell only to consumers and retailers. (For example, auto dealerships)
• Vending Machine routes and Rack Jobbers - Two methods of marketing another company's products through distribution systems to various stores.
• Network Marketing or Multi-Level Marketing (MLM) - A business model that needs a distributor network to build the business. It involves selling products directly to consumers, as well as through a network of other agents whom you recruit. You usually earn commissions on both your sales as well as those of the other agents you recruit.
• Trademark/product licenses - The licensee may use the seller's trade name as well as certain of their methods, products, equipment, and technologies.
• Cooperatives - An existing business may affiliate with a larger network of similar businesses in order to advertise and market products and services, using a common identity.